Toys 'R' Us faces a daunting debt maturity wall in 2016, and sources said the retailer should evaluate its refinancing options as soon as possible. The Deal's Lisa Allen and Richard Collings talked to industry sources and a bondholder who said the toy store chain should take advantage of favorable credit markets, ahead of uncertainties for its business and the retail industry in general. Toys 'R' Us would get financing on significantly better terms if it could use the value of its real estate to secure a new loan or launch a sale-leaseback deal, one bondholder said. Certain bondholders have formed a group that is advocating for debt covenant modifications that would make such deals possible.

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